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Chemical Group Urges Shifting Superfund Tax Deposit to Quarterly

Aug. 10, 2022, 4:26 PM

The National Association of Chemical Distributors called on the IRS to exempt Superfund chemical excise taxes from semimonthly deposits a month into the tax going into effect, in a comment letter released Wednesday.

The Superfund tax, a levy on certain chemicals and imported substances, went into effect July 1, requiring qualifying taxpayers to make semimonthly deposits. The IRS provided some transitional relief if companies underpay until the third quarter in 2023, if they meet certain conditions.

Semimonthly deposits create an “extensive compliance burden,” the NACD said as justification for a permanent exemption.

“Requiring quarterly payments ...